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Shady Rack Inc. has a bond outstanding with 9 percent coupon, paid semiannually, and 23 years to maturity. The market price of the bond is

Shady Rack Inc. has a bond outstanding with 9 percent coupon, paid semiannually, and 23 years to maturity. The market price of the bond is $1,050.15. Calculate the bonds yield to maturity (YTM). Now, if due to changes in market conditions, the market required YTM suddenly increases by 2% from your calculated YTM, what will be thepercent changein the market price of the bond?

A.-14.01%

B.-16.39%

C.-14.87%

D.-17.76%

E.-15.66%

F.-17.09%

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Probability And Statistics For Engineering And The Sciences

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